Can Credit Suisse Avoid Becoming The ‘Deutsche Bank’ Of Switzerland?
TYLER DURDEN, 08 April 2021
Markets were shaken but unstirred by the collapse of Greensill and the Archegos unwind trades. Credit Suisse is the ultimate loser of the two scandals – reputationally damaged and holed below the water line. The bank is paying the price of years of flawed management, poor risk awareness. and its self-belief it was still a Tier 1 global player. Its’ challenge is to avoid becoming the Deutsche Bank of Switzerland – which it will struggle to do without a radical and unlikely shakeout.
As the global economy bounces back, markets are having a good time as indices close higher, but things aren’t so bright in Switzerland.
I started this morning by opening Credit Suisse’s Private Banking website. I was curious. After blagging my way onto the site by stating I am an exceptionally wealthy Mexican exporter with oodles of easily transportable assets and free cash to invest, I read through the offering. As is traditional on any private banking website, it featured a video of a yacht. To be honest… and I know about yachts – I’ve seen better. But if I was looking for a “trusted partner” at “every life stage” and wanted to avail myself of the their collective experience after 164 years in business, numerous best banks awards and “Swiss-class customer service”… where else would I go?
